This is article from times of india (20/8/08) . IT shows interest of TIDCO in development of SEZ.
Gvk company offered six times of actual value of land and also training and job opportunities for those who sold the land. I think these offers made people to sell land voluntarily. One more interesting aspect is pondicherry govt promised to supply power to the SEZ. If govt provides support in all aspects i think India will be on par with China in few years.
Wednesday, August 20, 2008
Thursday, August 14, 2008
Problems in Power
I read a very interesting article this morning in the Hindu Business line on States going back on power contracts that they signed with private power providers.
We will talk about this a lot more when we get into PPPs, particularly when we discuss the Dabhol example. However it might be interesting for all of you to see the political dimensions of the infrastructure problem. The article says that the new Meghalaya government cancelled a contract entered into by the old government on the grounds that it was a "violation of the states policy"! The moral of the story is that you might have demand (a need for, or a lack of power), and you might have supply (private power providers), but other social/political/legal/environmental issues can easily scuttle the project!
Comments?
We will talk about this a lot more when we get into PPPs, particularly when we discuss the Dabhol example. However it might be interesting for all of you to see the political dimensions of the infrastructure problem. The article says that the new Meghalaya government cancelled a contract entered into by the old government on the grounds that it was a "violation of the states policy"! The moral of the story is that you might have demand (a need for, or a lack of power), and you might have supply (private power providers), but other social/political/legal/environmental issues can easily scuttle the project!
Comments?
Sunday, August 10, 2008
PPP in IRRIGATION
We have seen in one of the classes that in India there has been 0% PPP till now in irrigation. But its interesting to see that the worlds first PPP irrigation project started in Morocco in 2004. Here is the article.
World's first PPP irrigation project for Morocco
Available online 7 October 2004.
The Moroccan government has chosen a private partner for the planned public private partnership (PPP) irrigation project in the citrus-growing area of Guerdane, Taroudant province.
This Guerdane project is the first PPP irrigation project in the world.
Surface water is urgently needed for irrigated citrus farming in the 10 000 hectare Guerdane perimeter, which currently depends largely on the extraction of rapidly diminishing groundwater supplies drawn up from the Souss basin.
The bid for the Guerdane PPP irrigation project was won by a consortium led by Omnium Nord-Africain (ONA), a Moroccan industrial conglomerate. As part of its contractual obligations, the ONA-led consortium will enter into a 30-year concession for the construction, co-financing, and management of an irrigation network. The network will channel water from a dam complex, located 60 miles from Guerdane, to 600 citrus farmers. The Guerdane irrigation project will cost an estimated US$85 million to build.
Reference: science direct doi:10.1016/S1359-6128(04)00448-3Also a good pdf on PPP in Irrigation is available here :http://www.oecd.org/dataoecd/30/0/37739223.pdf
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